NOTE:
I chose 14 millimetre dowel because I had a 14 millimetre drill.
Glue and varnish/paint are also required.

CHAIN:
Two small hooks and one metre of chain (gold coloured). Length of chain is height of room minus 150 centimetres (5 feet).

PEG-HOLES: Drill eight 14 millimetre holes in the body. The holes are at a 45 degree angle, blind (not all the way through) and staggered. See pictures.

The first hole is 8 cm from the top, the next 10 cm from the top on the next side, then 12 cm, and then 14 cm.
These four holes are for the top four pegs (dowels) that point up in four directions (north, east, south and west) to hold necklaces. See pictures.

The bottom four holes are 12, 14, 16 and 18 cm from the bottom (3, 4, 5 and 6 inches from the top and 7, 8, 9 and 10 inches from the bottom).

That was the difficult bit. I drilled some more holes straight through the body at the top, middle and bottom just for decoration. See pictures.

ASSEMBLY:
Screw one of the hooks into the top of the body. Glue the eight pegs into the body (PVA white glue). The pegs should all stick out the same amount (say 6-7 cm), rounded ends outside. Remove excess glue and hang it up to set.

Clean and varnish/paint as required, hang up to dry.

INSTALLATION:
Place necklace tree vertically in front of nose of necklace user. Screw other hook into ceiling immediately above this point. Hang on chain.